India's coffee exports are likely to cross 3 lakh tonne mark in the 2013-14 fiscal, topping last year's levels, as more shipments are expected to happen in the last few months of the year buoyed by stable global price trend, according to the Coffee Board.
Coffee exports were 2,98,000 tonnes in the last fiscal.
"Exports have picked up since October due to stability in global coffee prices. We expect total exports to exceed last year's level. ...It will definitely cross 3 lakh tonnes" Board's Chairman Jawaid Akhtar told reporters.
Akhtar, who also heads International Coffee Council, was here to announce the 5th edition of International Coffee Festival to be organised in Bangalore from January 21-25.
Highlighting recent export trends, Additional Secretary at the Commerce Ministry J S Deepak said: "Coffee exports have performed extremely well during October-December of 2013 with a rise of 33 per cent to 60,664 tonnes from 45,510 tonnes in the same period last year."
Exports of value-added variety and instant coffee type have risen sharply over last few years, thereby increasing margin and export value realisation, he added.
According to the Board, India's coffee exports have risen by five per cent to 2.20 lakh tonnes so far in this fiscal.
Akhtar mentioned that the country could not ship much in the first six months of the year due to sharp fall in global prices. But prices have now stabilised, thereby boosting export prospects for the second half of the year.
"Now, prices are more or less stabilised because the Vietnam crop has been affected to some extent due to cyclone. This factor has helped to arrest further fall in world prices. Prices are no more declining," he said.
Buoyed by stable price trend, Akhtar said domestic traders and growers have started exporting previous year's stock. They are also shipping the current crop, which is being harvested, due to limited storage facilities.
Major trend in India's overall coffee export has been that there was significant rise in re-export of value-added coffee. Re-export of coffee has picked up and is likely to exceed last year's level of 90,000 tonnes in 2013-14, he said.
India imports robusta variety of coffee from Vietnam to make instant and soluble coffee for re-export purpose.
Domestic coffee output has been revised downward by 10 per cent to 3.11 lakh tonnes for the ongoing 2013-14 marketing year (October-September) as crop has been affected due to long period of drought followed by extended rains. Annual consumption is around 1.5 lakh tonnes.
Akhtar said the Board has taken measures to address the problem of white stem borer disease in arabica coffee and has tied up with research bodies to find solution.
Since domestic consumption and exports are rising, the Board is also expanding coffee cultivation in Andhra Pradesh, Himachal Pradesh and West Bengal, he added.
